Reported 12 months ago
Hindenburg Research has denied allegations by India's securities regulator that it colluded with a U.S. asset manager to use non-public information to set up a short bet against Adani Group last year. The Securities and Exchange Board of India (SEBI) issued a 46-page 'show cause' notice outlining the allegations, which also involved entities like Kingdon Capital Management and a Mauritius-based trading fund linked to Kotak Mahindra Bank. SEBI alleges that Hindenburg provided a draft of its report on Adani Group to Kingdon Capital Management before its public release, leading to short positions in Adani group stocks being created. Hindenburg dismissed the allegations as 'nonsense' and criticized SEBI for neglecting its responsibilities. Adani, which has consistently refuted Hindenburg's claims, experienced a significant market value loss but has since recovered.
Source: YAHOO